Residential Construction in the US has Reached a Five-Year Peak.

After years of trying to work with a sluggish real estate market, US construction companies are building more houses than any point in the past five years. In March, US builders requested more construction permits that in any other month since the middle of 2008 - a significant indicator for long-term growth in the crucial housing sector.

During the last five years, the real estate market could have been described as quite the roller coaster ride, subjected to tempestuous sales figures and declining values. While many states along the coast have weathered this "storm" rather well, America's central cities have seen housing sales slow right down, with many homes even waiting patiently on the market for years.

Recent statistics, however, demonstrated a 6.8 percent rise in building permit numbers that construction companies are applying for. This construction growth is a positive and imperative development after April observed a 14.8 percent decline in new residential developments.

Figures For May Show Improvement in Sluggish Real Estate Market

Many residential development specialists actually accused March's vigorous growth - with around one million new homes due for construction during that month - as the justification for April's heady decline. Nevertheless, May's figures for submissions for new construction permits suggests that the sector could well be on its way for a long-term recovery.

These construction permits comprise of a number of single-family residences, including family apartments, condos and single-family houses. More than 60 percent of these new constructions will be detached houses targeted at single families, with buildings on a large-scale still an afterthought in today's market.

Over the last 12 months, new home construction has amplified, with 2013 being regarded as an important "recovery year" for America's real estate sector. The National Association of Home Builders (NAHB) published figures indicating a 28.6 percent rise in the number of new houses being constructed since May the previous year.

"Builders are experiencing some relief in the headwinds that are holding back a more robust recovery," said the NAHB's chief economist, David Crowe.